Fantom (FTM) has gained attention recently due to its innovative approach to decentralized finance (DeFi). Its unique Direct Acyclic Graph (DAG) smart contract platform offers unmatched scalability, positioning Fantom as a significant player in the DeFi space.
Over the last week, the price of FTM has increased by 16.19%, despite a slight 0.03% drop in the past 24 hours. With a circulating supply of 2.8 billion FTM, the current market cap stands at $1.59 billion. At press time, according to Coingecko data, FTM traded at $0.5657.
Pseudonymous crypto trader and investor Mister Crypto attributed this price movement to behind-the-scenes development on the network.
Mister Crypto commented,
“I believe it will eventually see a massive leg up. It might take some time, but I think it will happen eventually.”
Sonic Upgrade: A Game-Changer for Fantom
One of Fantom’s most anticipated developments is the upcoming Sonic upgrade, which is expected to launch between November and December 2024. This upgrade will introduce the Fantom Virtual Machine (FVM), an optimized Lachesis consensus mechanism, and improved Carmen database storage. These enhancements aim to boost the Fantom network’s performance significantly.
The current Fantom blockchain processes around 30 transactions per second (TPS). After the Sonic upgrade, this figure is expected to increase to over 2,000 TPS, with finality times reduced to around one second.
Closed testnets have already demonstrated a theoretical maximum throughput of 2,000 TPS, with a time to finality of 729 milliseconds. This performance boost will position Fantom as one of the fastest blockchain networks in the industry, attracting more developers and users to its platform.
Bullish Chart Patterns: Falling Wedge and Inverse Head and Shoulders
Technical analysis of Fantom reveals two bullish patterns that suggest a potential upward breakout. The falling wedge pattern, a bullish indicator, has recently been confirmed with FTM breaking out of its wedge. This breakout suggests that the long-standing downtrend may be coming to an end. Traders are closely watching the next price levels, with the first target around $0.80 and a more extended target near $1.20.
Source: TradingView
An inverse head and shoulders (H&S) pattern has also formed on the chart. This bullish signal indicates a potential reversal from the recent downtrend. The neckline is positioned near $0.56, and a confirmed breakout above this level could trigger further gains. The price targets remain consistent with the falling wedge projections, with $0.80 as the first level to test and $1.20 as the more ambitious target.
Several technical indicators further support the possibility of an upward trend for Fantom. The Relative Strength Index (RSI) currently sits at 66.82, nearing overbought territory but still showing strong buying pressure. This indicates that while the market may experience some consolidation, there is still room for more upward movement if buying interest remains high.
The MACD (Moving Average Convergence Divergence) has also shown a bullish crossover, with the MACD line moving above the signal line.
This crossover is often seen as a confirmation of growing momentum, and the expanding histogram bars suggest that buying pressure is increasing. Traders may want to monitor these indicators closely for signs of any changes in momentum.
On-Chain Data and Market Activity
On-chain data from IntoTheBlock provides further insights into the market activity surrounding Fantom. As of September 17, 2024, about 43.59% of addresses holding FTM are “in the money” or profitable.
Meanwhile, 54.20% of addresses are holding at a loss, suggesting a key resistance zone between $0.503 and $0.577. This concentration of addresses could serve as a significant barrier that needs to be overcome for further price gains.
Source: IntoTheBlock
Additionally, data from DefiLlama shows that the Total Value Locked (TVL) on the Fantom network is currently $93.67 million, reflecting the capital locked in Fantom-based DeFi protocols. The market capitalization of stablecoins on the network is $337.37 million, with $17.69 million in 24-hour volume.
Source: DefiLlama
Over the last 24 hours, inflows into Fantom-based DeFi protocols amounted to $781,788, signaling continued interest in the platform’s DeFi ecosystem.
The post Fantom (FTM) Price Prediction September 18: Is a Breakout Imminent? Key Targets Point to a Rally Ahead appeared first on Coinfomania.
